Resurfacing an August 2024 move: Indian automakers rolled out scrappage-linked discounts ahead of festive season

Maruti Suzuki, Tata Motors, Mahindra, Hyundai and other SIAM members offered discounts on new vehicles against valid scrappage certificates, announced back in August 2024. Passenger vehicles get 1.5% off or up to Rs 20,000; commercial vehicles can receive up to 3% off, with offers running one to two years.

— Source publishedTue, 27 Aug, 2024, 19:06 IST·First seen Sun, 27 Sept, 2026, 11:40 IST·Source Business Standard (via Wayback)

What happened

Maruti Suzuki India · Indian auto manufacturers agreed to offer limited-period discounts on new vehicles against scrappage certificates, supporting fleet

Key facts

  • 1.5-3%
  • Rs 25,000
  • 1.5% of ex-showroom price or Rs 20,000, whichever is less
  • 3% of ex-showroom price
  • 2.75% of ex-showroom price
  • >3.5 tonnes GVW
  • last 6 months
  • 2 years
  • 1 year

Why this matters

Scrappage incentives increase the strategic value of partnerships with recycling networks, dealerships, financiers and digital certificate-verification providers.

What to watch

  • Monthly vehicle retail registrations during the festive season versus prior-year growth.
  • Number of scrappage certificates issued and registered vehicle scrapping facility utilization rates.
  • Dealer-reported share of sales using scrappage certificates and conversion rates from exchange leads.
  • Whether OEMs increase the discount cap or extend offers beyond the initial one-to-two-year period.
  • State-level tax, registration-fee or road-tax concessions tied to scrappage certificates.
  • Commercial vehicle order growth, particularly in light trucks, buses and fleet replacement categories.
  • Automakers and dealers bundle scrappage discounts with exchange bonuses, festival offers, low-EMI finance and insurance deals.
  • OEMs prioritize dealer outreach near registered vehicle scrapping facilities and build certificate-verification workflows.
  • Commercial-vehicle brands target logistics, construction, municipal and small-fleet operators with total-cost-of-ownership sales pitches.
  • Used-vehicle dealers face reduced supply of very old trade-ins while organized scrappage operators seek capacity partnerships.
  • Brands use campaign performance to lobby states for faster scrappage-center approvals and additional road-tax or registration-fee incentives.